Nestlé SA announced on Sunday that it has signed an agreement to acquire Caravan Marketing Company SAE (CMC), an Egyptian instant coffee company owner of the Bonjorno brand. The acquisition reflects Nestlé's ambition to invest in Egypt and foster the development of the rapidly growing soluble coffee segment which has been gaining popularity among Egyptians. Yasser Abdul Malak, chairperson and CEO of Nestlé Egypt, said that the agreement reflects the importance of the Egyptian market to the company. He added that in the last five years, Nestlé has made investments close to EGP 1bn in manufacturing and distribution facilities, as well as skills development, noting that the company will continue to invest in the Egyptian market. Abdul Malak also said that the acquisition will capitalise on the complementary strengths of the two brands Nescafé and Bonjorno, accelerating the development of the soluble coffee market in Egypt. "We are keen on ensuring a smooth integration process in the best interest of the business and all employees, where it will combine Nestlé's strong marketing and innovation capabilities with Caravan's distribution model and significant presence in retail," he explained. Caravan chairperson Amr Barakat said that the move is meant to complement Bonjorno's success over the past year. "We are confident that Nestlé will ensure bigger investment opportunities to export Bonjorno products in the future," he added.
